Boku Regulatory News (BOKU)

6 January 2020

Boku, Inc.

("Boku" or the "Company" and, together with its subsidiaries, the "Group")

Total Acquisition Consideration for Danal Inc. is $25m

Boku Inc (AIM: BOKU), the world's leading independent carrier commerce company, announces that, further to the announcements on 2 January 2019 and 31 January 2019 in relation to the completion of the acquisition of Danal, Inc. ("Danal"), 2,724,499 common shares of $0.0001 each in the Company ("Common Shares") have been issued to Danal shareholders following the release of the Common Shares that were subject to holdback for 12 months (the "Holdback Shares") as Boku has not filed any claims for indemnification.

Following the issue of the Holdback Shares the total consideration paid by the Company to acquire Danal comprised the issue of 26,700,000 Common Shares, the issue of warrants over 1,634,699 Common Shares exercisable for five years at an exercise price of £1.41 each and US$1.0 million in cash. No additional earn-out consideration is payable by the Company.

The total purchase price accounted for by the Company for the acquisition of Danal has now therefore been finalised at US$25,077,547.13, being approximately 8.6% of the Company's market capitalisation as at close of business on 31 December 2019.

Admission and Total Voting Rights

Application has been made to the London Stock Exchange for admission to trading on AIM of the Holdback Shares and these Common Shares, which will rank pari passu with the Company's existing issued Common Shares, are expected to be admitted to trading on or around 7 January 2020 ("Admission"). Following Admission, the total number of Common Shares of $0.0001 each of the Company in issue is 255,059,706. There are no shares held in Treasury. Therefore, the total number of voting rights in Boku is 255,059,706. The above figure of 255,059,705 shares may be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the Company under the Disclosure Guidance and Transparency Rules. 

Jon Prideaux, CEO of Boku, commented, "The acquisition of Danal brought Boku a strong US-focused mobile identity business with an established platform, a great customer base -- including many global brands -- and a team of experienced identity professionals.

"Boku is in a favourable position with strong demand worldwide. European Financial Institutions need to comply with the Strong Customer Authentication (SCA) requirements of the Payment Services Directive (PSD2). Asian companies are looking to combat emerging fraud trends. Boku's products allow them to do this whilst meeting consumer privacy requirements.

"Our focus is on globalising the offer so that Boku Identity can meet this substantial demand, further enhancing our platform which connects more than 190 mobile network operators worldwide."

Enquiries:

Notes to Editors

Incorporated in 2008, Boku is the world's leading independent carrier commerce company. Boku's Platform, which is linked to billing, identity and sales systems of more than 190 mobile network operators, simplifies transacting on mobile devices.

Boku's Payment products enable mobile phone users, of which there are more than five billion worldwide, to buy goods and services and charge them to their mobile phone bill or pre-pay balance. Its Identity Products are used to verify user details. Companies like Apple, Google, Facebook, Microsoft, PayPal, Spotify, Square, Sony and Western Union use Boku to simplify sign-up, acquire new paying users and prevent fraud.